Considering the rapid progress being made in areas such as artificial intelligence (AI) and quantum computing, securities market would undergo a change, said Securities & Exchange Board of India (SEBI) Chairman Tahin Kanta Pandey on Thursday.
“We need to be prepared both for the opportunity these technologies offer as well as the risks that may arise. Even as Market Infrastructure Institutions (MIIs) innovate, they must ensure that investor protection and overall trust in the system remain their topmost priorities,” he said while speaking at an event to mark the 150 years of BSE.
“This includes expanding investor education and awareness, enhancing cyber resilience, maintaining robust risk buffers, swiftly detecting and punishing fraudulent behaviour and upholding the highest standards of disclosure and governance,” he emphasized.
He said the short-term or narrow commercial goals should never overshadow these foundational public interest objectives. “By preserving trust, we will continue to attract both domestic and global investors, driving sustained capital formation,” the SEBI chief said.
On SEBI’s stance on optimum regulation and investor education he said in a dynamic securities market, the role of regulator was not only to ensure market integrity and promote trust but also development of market.
“We must therefore move forward with optimum regulation approach which is mindful of the cost of compliance while exploring alternatives to achieve our objectives,” he said.
Stating that rapid changes could also create regulatory uncertainties on top of several global headwinds that industry faces today, he said “towards this end, we will be looking to review our existing regulations, weed out those which are outdated and rationalise those which may be necessary.”
“We will intensify our consultations with stakeholders in this regard to prepare a pragmatic roadmap for our objectives of simplified yet effective regulations,” he pointed out.
Referring to BSE is an important MII, he said the exchange has been acting as first-level regulator to ensure that SEBI meets its triple mandate of investor protection, development and regulation of the securities market.
“We have encouraged healthy competition between MIIs as it increases operational efficiency, encourages innovation, leads to better investor experience and provides for natural backups,” he stated.
Published – April 17, 2025 09:07 pm IST
